The world’s largest gold complex in Nevada, United States is set to be born with the expected completion of the joint venture (JV) between Barrick Gold and Newmont Goldcorp.
Nevada is the base of Barrick’s business, according to the company, and it will continue to strengthen the company’s portfolio profile with its plans to divest two “high-risk” gold mines in Africa.
Barrick has faced a long stand-off with the Tanzanian Government, citing “some legacy challenges” as the reason for the potential sale of its Kibali and Loulo-Gounkoto African mines by mid-2020.
The Canada-based company is, however, open to acquire other prospects in Canada, despite having streamlined its corporate structure through job cuts.
Barrick said 70 people remained at its Toronto headquarters, emphasising it was not a cost-cutting exercise but “to ensure that the best people are in the right places.”
The company also experienced an increase in group production by eight per cent quarter-on-quarter since its merger with Randgold Resources, which created the world’s largest gold miner at the start of the year.
“We’re also well advanced in establishing our new joint venture with Newmont, which has been named Nevada Gold Mines,” said Barrick chief executive and president Mark Bristow.
“The organisational structures are being finalised and we’re working together with Newmont to realise the synergies and cost reduction opportunities offered by the joint venture, which is scheduled for completion by the end of the second quarter.
“Given our solid operational performance for the first quarter, Barrick is on track to deliver against its plans for the year. … I am confident that we are well on the way to achieving our strategic objective of becoming the world’s most valued gold mining business.”
Barrick also holds a 50 per cent interest in the Super Pit gold mine at Kalgoorlie in Western Australia.